East Hanover residents jam meeting over 607-unit housing plan

More than 1,000 East Hanover residents packed the East Hanover Middle School June 25 to hear township officials explain a plan by KRE Acquisitions to build 607 townhouses and apartments on River Road.(Photo: Peggy Wright/Daily Record)Buy Photo

EAST HANOVER TWP. — Mayor Joseph Pannullo vowed a fight against a plan by Kushner Real Estate Acquisitions to build 607 townhouses and apartments on River Road at a special council session Monday that attracted a crowd of more than 1,000 agitated residents.

"Don't run away. Stay and fight with us," Pannullo told the crowd that packed the auditorium of the East Hanover Middle School for the town meeting he called in response to KRE's proposal. Hundreds more jammed the school cafeteria to hear the meeting over a speaker system as police and firefighters were on hand to maintain order.

"They're going to fight for you to get the numbers down to a reasonable level. Your community has said we're not giving up," said township consulting engineer Andrew Hipolit.

Township officials learned June 7 that KRE wants to build the housing units on land currently owned by Mondelez International, the maker of Oreos, Triscuits, Chips Ahoy! and other snacks.

The township already is fighting a Fair Housing Council edict that it needs 770 units of low and moderate-income housing to meet its constitutional obligation to provide affordable housing. By Supreme Court order that affects municipalities across the state, East Hanover's plan is being reviewed by a Superior Court judge who gave KRE permission to intervene in East Hanover's housing case in April.

KRE contends it wants to help the township meet its fair share obligation and its 607-unit proposal would include 60 low and moderate-income housing units, according to Pannullo.

Superior Court Judge Maryann Nergaard, who is assigned in Morristown to review Morris County municipal affordable housing plans, has ordered the township to talk settlement with KRE. But township attorney Matthew O'Donnell told the crowd that all the township has received is a schematic rendering of the proposed housing.

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An overflow crowd of East Hanover residents who couldn't fit into the East Hanover Middle School auditorium listen to a special session about a 607-unit housing proposal.(Photo: Peggy Wright/Daily Record)

Some residents like Ann Cortese asked why affordable housing is unwelcome but Pannullo repeatedly said low and moderate income units are not the problem – the number of units developers want to build to justify a lack of profit on the reserved units is.

"It's almost like it's a bad word. We have to be more open-minded. It's sad to see affordable housing is a dirty word," Cortese said.

Pannullo responded: "It's not the affordable housing. It's what they want to build to get the affordable housing."

Resident Toni DePaolis questioned how the township's roads and infrastructure could support the development and she volunteered to be part of a fight against it.

"What can we do to come together as a community and fight this? Let's be proactive," DePaolis said.

The Bridgewater-based KRE is a prominent real estate company founded by Murray Kushner, the uncle of Jared Kushner, who is married to President Donald Trump's daughter Ivanka Trump. An attorney for the company previously declined comment and a public relations firm representing KRE did not respond to a request for comment about the meeting.

Hipolit, the engineer, said the township was in compliance with affordable housing obligations up until 2015 but new quotas have been instituted. Pannullo said he spoke at length recently with Gov. Phil Murphy about reactivating regional contribution agreements (RCA's) under which municipalities are able to transfer their obligations to cities or areas in need of low and moderate-income housing.

If the project can't be halted, Pannullo said, the quest will be to reduce the number of units KRE is allowed to build.

Pannullo previously said KRE is under contract to buy 80 acres of a 120-acre site owned by Mondelez International off River Road and DeForest Avenue. Mondelez, whose subsidiaries include Nabisco, is a world-wide manufacturer of snacks that include Oreos, Ritz Crackers, Dentyne gum, Honey Maid crackers, Wheat Thins and other foods.

No one from KRE or Mondelez approached the township before KRE intervened in the court case. No site plan has been filed, Pannullo said.

Calling the proposal "a monstrosity," he said the developer should promise to turn part of the land into a park. Another resident, so agitated she punctuated her remarks with curse words, said she can barely leave her driveway some days because of traffic congestion.

Nabisco was acquired by Mondelez International. The company is headquartered in Illinois but has a global research and development center in East Hanover.

Pannullo has said KRE proposes to raze one vacant building on the 80-acre site, called the Eagle building, and build houses. Mondelez would continue to operate a second building on the remaining 40 acres. About 1,500 work at the Mondelez location, township officials said.

One elderly resident left the meeting early, saying "It's a total nightmare" as he walked out.

Pannullo advised he will call another meeting to keep residents informed. After learning June 7 of KRE's plan, he scheduled Monday's session and put out a telephone alert.